Bill Text: IL HB1913 | 2021-2022 | 102nd General Assembly | Introduced
Bill Title: Amends the Tobacco Products Compliance Act. Provides that a manufacturer or distributor of a tobacco product has a private right of action against another manufacturer or distributor of a tobacco product for a tobacco product sold within the State of Illinois if specified conditions and requirements are met. Provides that a manufacturer or distributor (rather than any interested party) may file suit for violations under the Act. Contains provisions regarding recovery for prevailing in an enforcement action. Makes other changes. Effective immediately.
Spectrum: Partisan Bill (Republican 1-0)
Status: (Introduced - Dead) 2021-03-27 - Rule 19(a) / Re-referred to Rules Committee [HB1913 Detail]
Download: Illinois-2021-HB1913-Introduced.html
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1 | AN ACT concerning health.
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2 | Be it enacted by the People of the State of Illinois,
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3 | represented in the General Assembly:
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4 | Section 5. The Tobacco Products Compliance Act is amended | |||||||||||||||||||||
5 | by changing Sections 10 and 15 as follows:
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6 | (410 ILCS 76/10)
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7 | Sec. 10. Compliance reports. Any person who manufactures | |||||||||||||||||||||
8 | any tobacco product in the State for distribution or sale in | |||||||||||||||||||||
9 | the United States shall be required to provide annually, by | |||||||||||||||||||||
10 | June 1, 2020 and by June 1 of each year thereafter, a written | |||||||||||||||||||||
11 | certification, including supporting evidence and | |||||||||||||||||||||
12 | documentation, of such person's compliance with Sections 903, | |||||||||||||||||||||
13 | 904, 905, and 920 of the federal Family Smoking Prevention and | |||||||||||||||||||||
14 | Tobacco Control Act to the Illinois Department of Public | |||||||||||||||||||||
15 | Health , to the extent such person's manufacture qualifies as | |||||||||||||||||||||
16 | one that requires compliance with such Act . Such qualifying | |||||||||||||||||||||
17 | person will also be required to provide, for each tobacco | |||||||||||||||||||||
18 | product manufactured, sold, or distributed by the person | |||||||||||||||||||||
19 | (including all tobacco products manufactured in the State by | |||||||||||||||||||||
20 | the person and all other tobacco products sold or distributed | |||||||||||||||||||||
21 | by the person) copies of any written evidence and | |||||||||||||||||||||
22 | documentation prepared to comply with 21 U.S.C. 387(g), (i), | |||||||||||||||||||||
23 | and (t), that each such tobacco product, as required by the |
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1 | Tobacco Control Act, is one of the following: (i) | ||||||
2 | "grandfathered" (that is, first introduced into interstate | ||||||
3 | commerce for commercial distribution in the United States on | ||||||
4 | or before February 15, 2007); (ii) "provisional" (that is, | ||||||
5 | first introduced into interstate commerce for commercial | ||||||
6 | distribution in the United States between February 15, 2007 | ||||||
7 | and March 22, 2011, and for which a substantial equivalence | ||||||
8 | report was submitted to the FDA by March 22, 2011); or (iii) | ||||||
9 | determined to be "substantially equivalent" (that is, is the | ||||||
10 | subject of a marketing authorization order from the FDA after | ||||||
11 | review of a premarket submission intended to demonstrate | ||||||
12 | substantial equivalence).
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13 | (Source: P.A. 101-582, eff. 8-26-19.)
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14 | (410 ILCS 76/15)
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15 | Sec. 15. Private right of action. A manufacturer or | ||||||
16 | distributor of a tobacco product has a private right of action | ||||||
17 | against another manufacturer or distributor of a tobacco | ||||||
18 | product for a tobacco product sold within the State of | ||||||
19 | Illinois, as follows: | ||||||
20 | (1) If the tobacco product fails to comply with | ||||||
21 | Section 2 of the Cigarette Tax Act. | ||||||
22 | (2) If the tobacco product fails to comply with | ||||||
23 | Section 3 of the Cigarette Tax Act. | ||||||
24 | (3) If the tobacco product fails to comply with | ||||||
25 | Section 3 of the Cigarette Use Tax Act. |
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1 | (4) If the tobacco product fails to comply with | ||||||
2 | Section 3-10 of the Cigarette Use Tax Act. | ||||||
3 | (5) If the tobacco product fails to comply with any | ||||||
4 | rule adopted under this Act pertaining to revenue by any | ||||||
5 | political subdivision of the State, as described in this | ||||||
6 | Act. | ||||||
7 | (6) If the tobacco product fails to comply with a | ||||||
8 | local ordinance pertaining to a tobacco product, if the | ||||||
9 | tobacco product was actually sold in a jurisdiction | ||||||
10 | subject to such ordinance. | ||||||
11 | For paragraphs (1) through (5), the manufacturer or | ||||||
12 | distributor seeking to initiate the private right of action | ||||||
13 | must give notice by certified mail, first class postage | ||||||
14 | prepaid, to the Director of Revenue, or his or her designee, of | ||||||
15 | a violation of Section 2 or Section 3 of the Cigarette Tax Act, | ||||||
16 | and the Department of Revenue must decline to take action | ||||||
17 | within 60 days of such notice. | ||||||
18 | For paragraph (6), the manufacturer or distributor seeking | ||||||
19 | to initiate the private right of action must give notice by | ||||||
20 | certified mail, first class postage prepaid, to the clerk of | ||||||
21 | the unit of local government, or his or her designee, of a | ||||||
22 | violation of the local ordinance, and the unit of local | ||||||
23 | government must decline to take action within 90 days of such | ||||||
24 | notice. | ||||||
25 | A manufacturer or distributor To enforce against a | ||||||
26 | violation of the Act or any rule adopted under this Act by any |
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1 | local government or political subdivision as described in this | ||||||
2 | Act, any interested party may file suit in circuit court in the | ||||||
3 | county where the alleged violation occurred or where any | ||||||
4 | person who is a party to the action resides. Actions may be | ||||||
5 | brought by one or more manufacturers or distributors persons | ||||||
6 | for and on behalf of themselves and other persons similarly | ||||||
7 | situated. If the interested party prevails in its enforcement | ||||||
8 | action, it will be entitled to recover : (A) one-third of the | ||||||
9 | noncompliant tax revenue, with the remainder to be conveyed to | ||||||
10 | (i) the Department of Revenue for actions brought under | ||||||
11 | paragraphs (1) through (5), and (B) the unit of local | ||||||
12 | government for actions brought under paragraph (6); and (B) | ||||||
13 | damages of 3 times its attorney's fees and costs, and, in | ||||||
14 | addition, the court or other adjudicating body, at its | ||||||
15 | discretion, may assess punitive damages for any wanton or | ||||||
16 | flagrant violation of the law.
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17 | (Source: P.A. 101-582, eff. 8-26-19.)
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18 | Section 99. Effective date. This Act takes effect upon | ||||||
19 | becoming law.
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